Lyft Shares Drop the Most Ever After Warning of Lower Profits
- Projections for adjusted earnings fell well short of estimates
- CEO Logan Green says Lyft to focus on lower prices, wait times
This article is for subscribers only.
Lyft Inc. dropped the most ever in a single day after forecasting dramatically lower profits than expected and saying it will cut prices in an attempt to attract and keep customers.
The ride-hailing company projected adjusted earnings before interest, tax, depreciation and amortization of $5 million to $15 million this quarter, missing an $83.6 million average estimate in a Bloomberg survey. Shares closed 36% lower in New York trading Friday at $10.31, the biggest decline since the San Francisco-based company’s initial public offering four years ago.